TIME Magazine has named senior executive outplacement one of the top 10 business trends for 2010. Find out why many companies are investing in hiring an executive coach.
The Globe and Mail say that unemployment rates are high, but there is some good news on this front – layoffs are down thanks to new ways of managing workforce needs. According to executive outplacement firms, one of the top ways to manage your workforce is through executive coaching.
The top reasons companies are looking for an outside coach include:
- Help with implementing new leadership techniques
- Increase in productivity
- Establishing effective communication between employees and managers
Now that you know more about senior executive job loss, you might be wondering how a company would choose an outplacement firm or coach. No matter how big or small the business, one of the first things they will do is have a consultation to learn who you are as a company and your needs. Top executive outplacement firms will use this information to create a customized plan for you.
So, how much does senior executive outplacement cost? Salary ranges for coaches vary widely depending on the industry and the reputation of the coach. The best way to find out what you can afford is to talk with an executive coaching representative at one of the top coaching firms.
Executive outplacement offers many solutions for businesses that want to manage their workforce better. This is a great option for companies that want to stay ahead of the curve and avoid major layoffs but need to do more with less.
You are concerned about how you will meet your financial obligations during tough economic times? Consider outplacement services from one of the top executive coaching firms as a way for your business to cut costs while still managing workforce needs effectively.
From 2001-2011, the turnover rate of Fortune 500 CEOs was 23% – and the average tenure of a CEO decreased from 8 years in 2000 to 6.7 years in 2011. This is very bad for business; when you lose your Senior Executives, it’s like selling off pieces of your company. And not only do you lose talented people that contribute to the bottom line, but you also lose institutional knowledge. Losing a large number of Senior Executives is a particularly bad idea considering that they’re the ones who helped you build your business in the first place.
But how do organizations find themselves losing their most valuable members, anyway? Well, for one thing, CEOs face an increased level of scrutiny. Several high-profile CEO resignations have made headlines in the past few years. This media coverage makes board members uncomfortable about keeping an executive who might be tarnished by scandal. And to be fair, plenty of Senior Executives do deserve to leave because they’ve either proven that their leadership strategy isn’t effective or their staff does not respect them.
The situation becomes even worse if the new CEO decides that they’d like to bring in their people, which is not an unheard-of occurrence. This means new Senior Executives are coming into your business, learning how things work for a few months, and then hiring their replacements who will probably know nothing about your company. How is this good for business?
It’s clear that organizations need to make some changes or risk losing their most important members; getting rid of Senior Executives is like burning money – you throw out talented people with experience and institutional knowledge, dissolve all the hard work they’ve done for your company, and miss out on potential future earnings.
What can you do to avoid this? Maybe it’s time for your organization to go with senior executive outplacement, which will allow these vital employees to leave in a smooth, orderly fashion. After all, what you want is for your Senior Executives to leave the company with their dignity, spirit, and business knowledge intact.